Question: Please explain marginal effects (e.g. dessert is less appealing once you've had a few plates, the rain bothers you less once you're already soaked), some

Please explain

Please explain marginal effects (e.g. dessert is less appealing once you've had

marginal effects (e.g. dessert is less appealing once you've had a few plates, the rain bothers you less once you're already soaked), some are increasing, and some are constant. Consider the indifference curve below. What kinds of properties of X and Y could plausibly give rise to this indifference curve? (The first word in parentheses describes whether the object is good/bad, the second word is whether the absolute magnitude of the object's effect is diminishing/increasing/constant at the margin). X X is (good, increasing) Y is (good, increasing) ii. X is (good, diminishing) Y is (good, diminishing) iii. X is (bad, increasing) Y is (bad, increasing) iv . X is (bad, diminishing) Y is (bad, diminishing) A) & & (iii.) & (iv.) B) & (ii.) & (iii.) & (ii.) & (iv. ) & (ii.) & (iii.) & (iv. ) (iii.) & (iv.) (ii.) & (iii.) & (iv.) (ii.) & (iii.) (ii.) & (iv.) (ii.) (iii.) & (iv. ) (iii.) (iv.) P) None of (i) to (iv) Answer: F

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